Employee Compensation and Benefits Essay

Companies straightaway should mirror their compensation and hit programs with their long- term business st governgy and organizational culture. According to Casio (2010), Pay systems are designed to attract, retain, and motivate employees (p.421). The most important objective is fairness or to strain internal, external, and individual equity and maintain a balance in relationships between direct and indirect forms of compensation, and between the fall in rates of supervisory and nonsupervisory employees. Employers must perform job analysis, develop job descriptions, evaluate the honor of job/position in the organization, develop pay structure and pay levels to create war-ridden employee compensation and benefits (Cascio, 2010).Components of Employee Compensation and BenefitsEmployers must gain their workers trust, loyalty, and indigence to ensure organizational goals are achieved. There are three study components of the benefits package security and health (e.g. health insura nce, disability insurance, hospitalization, surgical, maternity coverage, indemnity plans, etc.), payments for time not worked (e.g. vacations, holidays, personal excused absences, grievances and negotiations, sabbatical leaves, etc.), and employee services (e.g. care aid, credit unions, auto insurance, fitness and wellness programs, moving and transfer allowances, stock-purchase plans, referral awards, call on work schedules, etc.). Factors such as the following are important strategic readations in the design of benefits programs the long-term plans of a business, its stage of development, its projected rate of growth or downsizing, characteristics of its workforce, legal requirements, the competitiveness of its benefits package, and its total compensation system (Casio, 2010).Organizational Data to Conduct Human Capital Management Functions Organizations consider humane capital management as a function of the humanresources department in managing organizations most importan t asset, their employees. By creating a competitive compensation and benefits package, management puts emphasis on the economic value of their personnel. Because of todays competitive environment, developing incentives that constantly improve employee performance, job satisfaction, and embolden motivation of every individual employed is essential to effectively achieve the organizations vision, mission, and goals. When the organizations human capital management functions and policies inspire employees to excel, as a solving of the compensation, benefits, and incentives provided to them, everyone wins (Casio, 2010)ReferencesCascio, W. F. (2010). Managing human resources Productivity, quality of work life, profits (8th ed.) New York, NY McGraw-Hill/Irwin.